While both AT&T and Verizon sell the iPhone 4 for $199 or $299 depending on storage capacity, both cellular providers sell them for different off-contract prices. This important difference can be seen on the bottom of Apple’s iPhone purchase page and on Verizon’s frequently asked questions about the iPhone 4 page. AT&T allows customers to purchase the 16 GB iPhone 4 for $599 sans the contract and charges $699 for the contract-free 32 GB model. On the other hand, Verizon charges $649 and $749 for the two models, respectively.
We are not entirely sure why the $50 price difference exists but it may have to do with a pricier CDMA chip or because the Verizon version is a brand-new product. In the long run, this should not affect too many customers as most people will be looking to purchase the phone with a contract, and those prices are the same no matter the carrier. Let us know in the comments if this will impact you.